Weitere ähnliche Inhalte
Ähnlich wie IKEA Sustainability Report 2012 (20)
IKEA Sustainability Report 2012
- 2. 2 3
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
Sustainability
Manager Statement
As an IKEA co-worker, your everyday contributions
can make a big difference to the environment and
the community that you work and live in. I am one
of about 1,700 IKEA co-workers in Australia, and
130,000 globally. Imagine the difference we could
make, if every single one of us made a few simple
efforts to be more sustainable, everyday. Even
small steps make a big difference when we all take
them together.
Sustainability is a long-term priority for IKEA Australia
and this Report summarises our journey through
FY10/11. Like any journey it’s had some twists and
turns and a few bumps along the way. We are aware
that we will make mistakes, however we will learn from
these mistakes. We still have many more improvements
to make and we will to continue to share our progress
We have a bright future ahead of us in Australia, one
that will see us become a more sustainable business,
day by day. This is just the beginning of our journey
and many things remain to be done.
COUNTRY MANAGER
STATEMENT
At IKEA, we want to create a better everyday
life for the many people. We aim to do this
by providing well designed, functional and
sustainable home furnishing products at prices
so low that as many people as possible can
afford them.
Sustainability isn’t new to IKEA; it started with the
flatpack and has evolved into our constant desire
to make more from less. What if we treated waste,
water or energy like a commodity? How much value
would we place on reducing our consumption? Acting
sustainably not only saves us money, but helps the
environment too! Our responsibilities to people include
our co-workers, they are our most valuable resource
and we know that when they grow, IKEA also grows.
As a leader of a business with intentions to expand in
the Australian market, I believe we have a responsibility
to care for the environment and communities in
which we operate. Not a day goes by that I don’t
see tremendous opportunities to do better business,
and while I am pleased with our success to date,
I’m incredibly excited about the future ahead of us.
Thank you for letting us share some of our progress
with you through this Report.
3
© Inter IKEA Systems B.V. 2012
2
Jump straight
to page 9
to dig into the
details about
our sustainability
performance
and activities.
Highlights FY10 - FY11
We improved the energy
efficiency of our stores, so
8.2% less energy
was consumed per m3
of goods
sold in FY11 compared to FY10.
We were awarded Most
Sustainable Business
2010 by the City of Canada Bay
for IKEA Homebush.
We achieved an 80%
reduction in waste
transport during FY11 as
a result of investing $1.5 million
in waste equipment upgrades.
We donated $223,309
to partner charities, local schools,
other organisations and projects
in FY11.
We used 5% less water
in our stores, per m3 of goods
sold, in FY11 compared to FY09,
mostly due to the installation of
more water efficient dishwashers,
toilets and taps.
We produced 509 giga
joules of renewable
energy by installing solar hot
water in FY11.
We gave primary care giving
co-workers 26 weeks of
fully paid parental
leave as our parental leave
policy further improved to become
the most generous in the retail
industry.
We emitted 420 tonnes
less CO2 from our store
operations in FY11 compared
to FY10.
David Hood, Country Manager,
IKEA Australia
Annie Chandler, Sustainability Manager,
IKEA Australia
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 3. 4 5
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
Our Finances
IKEA Australia:
At a Glance
Where we are
During FY11, IKEA Pty Ltd operated
three stores on the Australian east
coast. At the beginning of FY12,
we opened two new stores; IKEA
Springvale in Melbourne and IKEA
Tempe in Sydney. IKEA Pty Ltd
also includes our national office
(referred to as the Service Office)
and Customer Service Centre.
The IKEA
range consists of
approximately
9,500 products.
Who We Are
FY10
(31 Aug 2010)
FY11
(31 Aug 2011)
Total equity 103.7 21% 146.6 22%
Long-term liabilities 125.2 114.6
Other non-current liabilities 33.3 50.3
Total non-current liabilities 158.5 25% 164.8 17%
Short term-liabilities 138 228.1
Other payables 91.7 121.3
Total current liabilities 229.7 7% 349.4 8%
TOTAL EQUITY & LIABILITIES 491.9 47% 660.9 53%
Equity & Liabilities (millions of $)
2010 506.0 M
2011 523.7 M
Net sales
2010 924
2011 1,638
Number of
co-workers
Number
of stores
2010 3
2011 3
Catalogues
printed
2010 3.6 M
2011 3.6 M
Store visits
2010 4.9 M
2011 5 M
Website
visits
2010 9.2 M
2011 14.9 M
IKEA Family
Members
2011 490,000
Logan
Service Office
Tempe
Homebush
Springvale
Richmond
4
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 4. 6 7
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
Governance
IKEA Pty Ltd has a unitary board
structure. The legal board of IKEA
Pty Ltd comprises five directors.
Three of these, including the Chair of
the board, are non-executive directors
and two are executive directors.
We define an executive as a member
of the executive group (known as the
Country Management Group), who
holds a position of direct influence on
operational policies and strategies.
Our Country Management Group,
which reports to our legal board,
has 11 executive members. In each of
our eight decision groups, one or more
executive members are represented.
The Sustainability Manager, who reports
directly to the Country Manager, is
responsible for our sustainability agenda.
The Sustainability Manager works with the
rest of the Country Management Group
to ensure that sustainability is an integral
part of the business plan and daily business
operations of IKEA Australia.
IKEA group
inter ikea Systems B.V.
IKEA
Staff
Functions
Range
Strategy
Product
Development
Supply Chain
IKEA
industry
Retail
Franchisor
FrancHISEE
Store
Store
Store
Store
Store
Retail
companies
in other
countries
IKEA Pty. Ltd
IKEA
Australia
Who owns us
The IKEA Group of companies includes;
Range Strategy, Product Development
and Supply Chain, Retail companies and
Industrial Groups.
In 2011, the IKEA Group operated in 41
countries with 29 trading offices in 25
countries. The remaining 16 countries
are home to Distribution Centres and 11
Customer Distribution Centres. The IKEA
Group also had 1,026 home furnishing
suppliers in 53 countries in 2011.
Inter IKEA Systems B.V. in the Netherlands
is the owner of the IKEA Concept and the
franchisor of all IKEA stores worldwide. The
IKEA Group franchises the IKEA concept from
Inter IKEA Systems B.V. and owns several
retail companies around the world that act as
IKEA franchisees in their respective markets,
including IKEA Pty Ltd.
IKEA Pty Ltd (in this Report generally
referred to as IKEA Australia), is a privately
held company headquartered in Sydney
that owns and operates the stores on the
Australian east coast.
For more details on the ownership
structure of the IKEA Group,
please go to Welcome Inside 2011
on www.ikea.com.au
© Inter IKEA Systems B.V. 2012
76
About This
Report
Scope and Boundaries
This Report describes IKEA Australia’s
sustainability activities and
performance during financial years
2010 (FY10, i.e. from 1 September
2009 to 31 August 2010) and 2011
(FY11, i.e. from 1 September 2010
to 31 August 2011). Any numerical
data refers to the situation within
our organisation at the last day of
each respective financial year,
unless stated otherwise.
As IKEA Tempe and IKEA Springvale
were opened in FY12, activities and
performance relating to these stores
are not included in the Report with the
exception of a few relevant areas that
are clearly indicated in the Report.
This Report does not include information
about the IKEA stores in Western Australia
or South Australia as they are not owned
or operated by IKEA Pty Ltd.
The Report also refers briefly to the
sustainability work carried out by IKEA
on a global level, this information is
clearly identified.
For more details about the global
sustainability work of IKEA, please
see the IKEA Global Sustainability
Report 2011 on www.IKEA.com.au.
This is the first Sustainability Report
for IKEA Australia and we welcome
any feedback or enquiries you may
have. You can contact us at
info.sustainability.au@IKEA.com
Finance &
Administration
Retail
Logistics
Customer
Relations
Projects
Sustainability
Property &
Expansion
Marketing IKEA Food
Sales
Communication
& Interior
Design
Legal
Board
Executive
Group
Country
Management
group
Functional
Groups
Service
Office
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 5. 8 9
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
Sustainability is at the
core of everything we do
At IKEA our vision is “to create a better everyday life
for the many people”. Our business idea supporting this
vision is that we shall offer a wide range of well-designed,
functional home furnishing products at prices so lo that
as many people as possible will be able to afford them.
Low prices are the cornerstone of the IKEA vision and our
business - but not at any price. At the IKEA Group, we believe
that taking responsibility for people and the environment is a
prerequisite for doing good business.
Sustainability is at the core of what we do. IKEA low prices
must never be achieved at the expense of people or the
environment. That is our first condition for doing good business.
Our customers must always feel that the products they buy are
safe to use and responsibly sourced. IKEA products must be
manufactured under acceptable working conditions by suppliers
who take responsibility for the environment. We do not accept
child labour. The IKEA Group supports sustainable forestry and
our long-term goal is to source all wood in the IKEA range from
forests certified as responsibly managed.
In this Report, you will discover examples of how we integrate
sustainability into every step of the IKEA value chain. By seeing
our performance and initiatives during the past two years, and
what we are aiming to achieve in the future, you will also see
the effects of our commitment to sustainability.
Sustainability at IKEA
Wherever we are, we act with respect
to exert a positive impact on people and
on the limited resources of our planet to
ensure long-term profitability.
© Inter IKEA Systems B.V. 2012
How did we decide
what’s in this Report?
As a leading home furnishing company, IKEA Australia
has the privilege and the responsibility to influence
environmental, social and economic conditions in many
areas. These include the environmental impact of our
operations, employment and conditions in our local
communities. We’ve chosen the contents of this Report
to show the areas in which our operations play a
significant role in influencing environmental, social and
economic conditions, highlighting areas where we have
taken, or plan to take, specific initiatives.
We have then prioritised these areas by evaluating our
stakeholder groups’ key concerns, identified through surveys
and dialogues. The stakeholder groups include; our customers,
co-workers and other people who may be interested in
sustainability. We have focused on these stakeholder groups as
they combine an interest in our organisational performance with
limited knowledge of our sustainability commitment.
The Global Reporting Initiative (GRI) G3 Sustainability Reporting
guidelines have been used during the development of this
Report. We are reporting based on a self-declared application
level of “C”. The Report covers the performance indicators that
we find the most material according to the GRI guidelines of
defining content.
We have sourced statistical data from existing recording systems
within our organisation. In cases where relevant data was not
available, conclusions have been reached by combining data from
other sources such as supplier data and survey results.
We have clearly indicated where any assumptions have been made
in relation to the data. When a specific performance indicator is
not reported to its full extent, it is due to a lack of ability to derive
reliable data and these cases are marked accordingly.
We have also chosen to include some data that is not included
in the GRI Indicator protocol as we believe this presents a more
complete picture of IKEA Australia as an organisation and shows
our commitment to sustainability.
Suppliers
We co-operate closely with the
suppliers of our home furnishing
and food range, as well as product
transport and distribution, as it is
important they understand and
comply with our requirements and
codes of conduct.
We maintain an ongoing dialogue
with our suppliers of water, energy
and waste management solutions,
as their services are directly linked
to our ambitions of reducing the
environmental footprint of our stores
and offices.
Co-workers
With our co-workers being our most
important resource, we stay in touch
with our co-workers through regular
co-worker perception surveys, focus
groups and other forms of discussion.
Academia
We engage with academic institutions
as we believe that sharing our
experiences as well as learning from
others within the field is beneficial
for all parties in our attempt to
contribute to a more sustainable future.
Consumers
We invest significant effort and
resources to ensure an ongoing
dialogue with our customers, as they
have the most direct contact with our
organisation and products. We take
continuous measures to improve our
understanding of our customers and
general consumers in the market, and
their perception and expectations of
IKEA, through various market studies.
Media
We are happy to share our approach
and standpoint on sustainability
issues with the public. This includes
being open to media exposure and to
enquiries aimed at our organisation.
Government & Legislation
We keep ourselves updated
on laws and regulations, and are
responsive to government requests.
Competitors
In our aim to take environmental and
social responsibility, we co-operate with
other corporations within the industry
to join efforts, share knowledge and
learn from best practice.
9
Stakeholders
This Report has been written for everyone who has an
interest in IKEA Australia’s performance and activities
related to sustainability.
As a leading home furnishing company, IKEA Australia has a wide
variety of stakeholders who, in different ways, have an interest
in, or are affected by our operations. We work to understand our
stakeholders and what matters to them, through research, surveys
and ongoing dialogue. We believe that by building and maintaining
strong relationships and engaging in open discussions with our
stakeholders, we can find solutions together that benefit our
mutual and ongoing commitment to sustainability.
Civil Society
NGOs
As a company committed to giving
back to the community, we have
established a close relationship
with several Non-Governmental
Organisations and charities at both
a local and national level.
Advocacy groups
We are responsive to advocacy
groups and strive to develop
meaningful relationships with
a collaborative approach. We believe
it is important to stay in touch
with local authorities and residents
in the areas in which we operate.
This means we also have an ongoing
dialogue with local interest groups
and councils in the communities
where our stores are located,
particularly in markets where we
plan to open new stores.
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 6. 10 11
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
2
10
PRODUCT1
GLOBAL
In offering low prices we must
never compromise the quality
or safety of IKEA products. Get
a glimpse into how designers,
product developers and
technicians consider a product's
safety, quality and environmental
aspects, from the initial design
stage throughout its life cycle,
on page 12.
GLOBAL
IKEA products must be
manufactured under acceptable
working conditions by suppliers
who take responsibility for the
environment. Read about IWAY,
the IKEA code of conduct on
page 16.
3 SUPPLIERS
TRANSPORT
LOCAL
We encourage our co-workers
to arrange virtual meetings
before travelling long distances
to meet, and we are looking into
ways to enable and encourage
our co-workers to choose more
sustainable ways of getting to
work. See how much the
estimated amount of emissions
per co-worker has decreased
on page 20.
GLOBAL
IKEA is on a constant hunt to
eliminate unnecessary air in the
trucks and ships that transport
our products. For some examples
of innovative ways in which this
is being done, turn to page 18.
4
LOCAL
We continuously make invest-
ments and improvements, both
in equipment and processes,
in order to minimise the
environmental impact of our
store operations. Find examples
of how on page 21.
STORE5
MATERIALS
GLOBAL
IKEA believes in using the
fewest resources to make
the best possible products,
without having a negative
impact on their functionality
or appearance. Learn more
about the IKEA approach to
responsible forestry, better
cotton and our principle
of making more from less,
on page 14.
WASTE8
LOCAL
Despite an increase in
sales, the amount of
packaging for our home
furnishing products has
decreased by 1,990
tonnes! The proportion of
waste going to landfill has
also decreased. Turn to
page 28 for more details
on our waste production.
ENERGY6
LOCAL
Solar energy is used to
heat the majority of hot
water in our stores. Learn
more about that and
about our investments in
systems to ensure more
efficient use of air-
conditioning and lighting,
on page 22.
WATER7
LOCAL
By installing water tanks
at IKEA Logan, we now
make use of rain water.
Read about how different
initiatives have improved
our efficiency in
consuming town water
on page 26.
CO-WORKERS
LOCAL
Our co-workers are our most
valuable resource. That is why
we value diversity, offer
generous benefits, invest in
competence development and
in understanding how co-
workers perceive their work-
place. Learn more about IKEA
Australia as an employer on
page 30.
9
LOCAL
IKEA Australia is committed
to being a good neighbour in
the community. Our focus is
to support a good environment
for children to learn and develop,
as well as comfortable, safe and
sustainable homes for local
residents. Read about our
partnerships and projects with
a variety of local organisations
and schools on page 34.
GLOBAL
The IKEA Foundation aims to
improve opportunities for
children and youth in developing
countries. Find out how the IKEA
Soft Toys campaign and the
SUNNAN campaign have raised
millions of Euro to benefit this
cause, on page 34.
COMMUNITY
1110
© Inter IKEA Systems B.V. 2012
Our aim is to take social and
environmental responsibility
in every stage of the IKEA
value chain.
Come on a journey with us
and discover how sustainability
is integrated in the product
development stage, through
the supply chain, throughout
our store operations and in
giving back to the community.
Sustainability
is at the core of
everything we do
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 7. 12 13
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
SIGNUM cable trunking
Find out more about our
quality and safety requirements
on www.ikea.com.au or in
the Global Sustainability
Report 2011.
1312
Find out more about the IKEA
approach to more sustainable
products on www.IKEA.com.au
or in the Global Sustainability
Report 2011.
When developing products, we first
decide on the price tag the item
will have when sold in IKEA stores.
However, in offering low prices
we must never compromise the
quality or safety of IKEA products.
Designers, product developers and
technicians must consider a product’s
safety, quality and environmental
aspects, from the initial design stage
and throughout its life cycle.
Saving on
everything but
good ideas
We are constantly trying to do
everything a little better, more simply,
efficiently and cost-effectively. The
revised design of SIGNUM cable
trunking is just one example that
shows how this can improve product
functionality as well as reduce
environmental impact. By increasing
the distance between the metal threads,
we more than halved the amount
of material used. The new design is
lighter too and makes it even easier
to keep your electric and computer
cables organised. Nearly twice as many
SIGNUM can now fit onto a pallet, which
reduces greenhouse gas emissions from
transport. Lower material and handling
costs mean that our customers enjoy a
reduced price too!
Quality & Safety
Where applicable, IKEA applies the strictest health,
safety and environmental requirements of any specific
retail market to all our retail markets.
Each year thousands of tests are carried out on IKEA products
during the development stage. Even more tests are conducted
during production.
We also ensure that banned chemicals such as formaldehyde
and phthalates don’t exceed IKEA requirements. IKEA has a
third-party accredited test laboratory that is certified each year
by external auditors and third-party accredited test laboratories
that perform random tests. IKEA requires suppliers to have
certified product testing done by third party auditors.
Safe in our hands
Who thinks about safety when having lots of fun? Not
kids, they’ve got more important things to do – so it’s
our responsibility to see the hidden dangers.
All our children’s toys are designed and tested to the highest
possible safety requirements around the world to ensure
playtime is a happy time for everyone. Each product undergoes
risk assessments during product development and production
stage. The purpose of risk assessments is to detect and
eliminate potential hazards and to ensure the product is safe
to use. Toys for kids under three years old will not have parts
small enough to choke on. And because kids are always putting
things in their mouths, toys must not contain harmful levels
of toxic chemicals. What’s more, we ensure that all children’s
products are made from material that, if exposed to fire, will not
ignite and flare up. Toys must not have sharp edges or points
that could cut or puncture a child’s skin and if there are large
moveable parts to a toy, they must be designed to prevent
fingers from being jammed or a child from getting stuck.
Sewn eyes
We only use sewn eyes and details
– never plastic eyes that can fall off.
Externally fixed plastic eyes can cause
suffocation if they fall off. We know from
research that children pay particular
attention to the eyes in the faces of
toys, so we also make sure our soft
toys have expressive eyes with distinct
contrasts that not only make small
children happy, but also stimulate the
development of their eyesight.
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
- 8. 15
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012© Inter IKEA Systems B.V. 2012
Find out more about the IKEA
approach to sourcing of raw
materials on www.ikea.com.au
or in the Global Sustainability
Report 2011.
More from Less
IKEA believes in using the fewest
resources to make the best possible
products, without negatively affecting
their functionality or appearance.
We work towards using as many
renewable and recyclable materials
as we can. Wherever possible, waste
from one manufacturing process
should be used in the production
of other items.
Better Cotton
Cotton is one of the most important
raw materials for IKEA, and we work
actively to promote better cotton
growing methods. We want the
cotton used in IKEA products to be
produced in a sustainable manner,
taking in to consideration both
people and the environment.
IKEA is a founding member of the Better
Cotton Initiative (BCI). BCI aims to
promote measurable improvements in the
key environmental and social impacts of
cotton cultivation worldwide to make it
more sustainable. Leading participants are
international companies, NGOs and the
United Nations Environment Programme.
Find out more about the
Better Cotton Initiative on
www.ikea.com.au or in the
Global Sustainability Report 2011.
Responsible
Forestry
Wood is an excellent material
from a quality and environmental
perspective, as long as it is legally
produced and comes from responsibly
managed forests. Our wood has not
been harvested from Intact Natural
Forests (INF) or other geographically
identified High Conservation Value
Forests (HCVF), unless it is certified
as responsibly managed.
The IKEA Group’s forestry specialists
are working in the field in our key
wood-sourcing regions. These forestry
specialists support business development
towards the long-term goal of sourcing all
wood used in the IKEA range from forests
certified as responsibly managed, and
help the IKEA trading service offices to
trace the wood back to its origins.
The IKEA Group participates in a number
of forestry projects with external
organisations in order to contribute to
the development of responsible forestry
practices and policies in countries where
we work. The IKEA Group’s forestry
projects focus on responsible management
practices, building capacity for third party
certification, combating illegal logging and
forestry research and education.
Find out more about the
IKEA forestry requirements on
www.ikea.com.au or in the
Global Sustainability Report 2011.
“Waste of resources
is one of the greatest
diseases of mankind”
Ingvar Kamprad, founder of IKEA
Waste knot!
In the 1990’s IKEA revolutionised
the furniture industry by introducing
NORDEN tables. This was the first
time anyone had made furniture from
the knotty crown of the birch tree,
making use of the entire tree trunk.
Previously, this wood was either
burnt as firewood or ground up to
make chipboard.
NORDEN Table
Loosing sleep over
the environment?
You can rest easy because GOSA
SYREN pillows are filled with
microfibre made from 100%
recycled PET drink bottles.
Gosa Syren Pillow
1514
NOTE: As the only sustainable
mainstream material, wood has two
other very important advantages. One;
it stores carbon for life – approximately
half the dry weight of wood is carbon,
absorbed from the atmosphere by a
growing tree. Two; substituting wood
for more carbon intensive materials
(e.g. steel, aluminium, plastics) reduces
greenhouse emissions associated with
their production.
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 9. 16 17
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
IWAY – The IKEA
Code of Conduct
IKEA products must be manufactured under acceptable
working conditions by suppliers who take responsibility
for people and the environment. The best way of
influencing and contributing to positive development is to
maintain close, long-term relationships with our suppliers.
By supporting suppliers we aim to motivate them to take
more responsibility for people and the environment.
The IKEA Way of Purchasing Home Furnishing Products (IWAY)
is the IKEA code of conduct. It defines what suppliers can expect
from IKEA and specifies what IKEA requires from its suppliers.
It is based on international conventions and declarations and
includes provisions based on the United Nations Universal
Declaration of Human Rights (1948), the International Labour
Organisation Declaration on Fundamental Principles and Rights
at Work (1998), and the Rio Declaration on Environment and
Development (1992).
IWAY covers working conditions, the prevention of child labour,
the environment, responsible forestry management and more.
Suppliers are responsible for communicating the content of the
IKEA code of conduct to co-workers and sub-contractors and
ensuring that all required measures are implemented at their
own operations.
Our practice is to work side-by-side with our suppliers on
the factory floor so we have a better understanding of their
production conditions. Designers, product developers and
purchasers often work on site in factories. This gives us the
opportunity to influence supplier practices and support them
in developing the competence, skills and knowledge to lead
their own social and environmental initiatives.
Where do your
beans come from?
By offering a fully traceable chocolate bar, IKEA
became the first retailer in the world to introduce UTZ
Certified cocoa. Each bar of our CHOKLAD MORK 70%
(dark chocolate 70%) can be traced back all the way to
the cocoa bean plantations. If you would like to find out
where your chocolate bar came from, simply visit
www.utzcertified.org/IKEA, enter the code on the
wrapper and you’ll see where the beans originated
and the farmers behind your tasty treat!
UTZ CERTIFIED is an independent non-profit organisation, that
sets social and environmental standards for sustainable growing
and distribution of cocoa, coffee and tea. Since 2008, all coffee
sold and served at IKEA is also UTZ certified.
Choklad Mork 70%
Find out more about IWAY on
www.ikea.com.au and in the
Global Sustainability Report 2011.
© Inter IKEA Systems B.V. 2012
17
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 10. 18 19
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
FY10 FY11
CO2
emissions CO2
emissions / m3
transported goods
CO2
emissions CO2
emissions / m3
transported goods
12,611 0.47 15,367 0.51
In FY11, the method of
measuring and reporting
on CO2
emissions was
revised to ensure more
precise estimations,
which explains the
increase in estimated
CO2 emissions/m3
transported goods in
FY11 compared to FY10.
Data on the emissions
from transport of waste
is not available.
CO2
emissions from transport of home furnishing products to IKEA Australia (tonnes)
Apart from being one of our biggest
sellers, EKTORP sofa also used to
be one of our biggest packages.
By folding the back and armrests
inwards, the sofa now takes up
half as much space, is easier for
customers to load on to their vehicles,
and helps to remove 7,477 trucks
from the roads and to reduce the
annual carbon dioxide emissions by
4,700 tonnes. As a result, the cost
has dropped significantly, savings
that have been passed on to our
customers as a lower price!
ektorp sofa
Transporting products
The flatpack – the hero
of a distribution revolution
IKEA designs furniture so that it can be packed
unassembled. The concept was born in the 1950’s
after one of the first IKEA co-workers removed the
legs of the LÖVET table so that it would fit into a car.
An idea of genius, it proved to not only save space, but also
reduce transport costs and emissions. It’s not only good for the
environment but good for you too as savings are also passed on
to our customers as substantially lower prices. The flatpack and
self assembly is now an essential part of IKEA and eliminating
unnecessary “air space” during transport has become a mantra
within our organisation.
Find out more about transport
of products and the work to phase
out wooden pallets in the Global
Sustainability Report 2011 or
www.ikea.com.au
Transporting products – not air
At IKEA we are constantly on the hunt to detect air –
air that can be eliminated from our packages and trucks.
After all, we want to transport products, and the less air
that comes with it, the less of an environmental impact
our transport will have.
The filling rate measures to what percentage the trucks and
containers are actually filled with products. In our mission to
improve the filling rate, IKEA is currently phasing out wooden
pallets and turning to more sustainable alternatives such as
paper pallets and loading ledges.
IKEA Tempe and IKEA Springvale are among the first IKEA
stores in the world to no longer handle wooden pallets.
IKEA Homebush, IKEA Richmond and IKEA Logan stores are
preparing to join them during FY12.
19
© Inter IKEA Systems B.V. 2012
IKEA trolley with flatpack furniture
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 11. 20 21
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
FY10 FY11
CO2
emissions CO2
emissions
/ co-worker
CO2
emissions CO2
emissions
/ co-worker
1,507 1.63 2,221 1.36
The data is based on information from our primary
domestic airline travel partner, who provides us with
most of our domestic airline travel. The airline travel
conducted by other companies is estimated to constitute
0.25% of the total domestic travel, and this assumption
has been taken into consideration in estimating the total
CO2
emissions. The emissions from pool cars in FY10 are
estimated based on emissions in FY11.
Co2
emissions from business travel (tonnes)
Transporting co-workers
Business travel
Our travel policy states the environmental impact of business travel must
be considered when planning business meetings, deciding on the location
and who needs to attend.
Virtual meetings are preferred, but when travelling is absolutely necessary, all our
co-workers must follow principles that ensure travel efficiency and include a strong
preference for public transport whenever possible.
Co-workers commuting to work
Throughout the years we have conducted surveys to track how co-workers
commute. Our research shows the factors that influence the mode of
transport choice are related to practicality, the availability of alternatives,
time-efficiency and convenience.
Due to the location and working hours of our stores, public transport is not always
a practical or possible option. This is reflected in the fact that the majority of our
co-workers travel to work by car. Comparing results from different stores, we found
a strong relation between the availability of well-developed public transport and the
proportion of co-workers using it. Overall, 25% of our co-workers use what we define
as more sustainable transport modes including public transport, cycling and walking.
We are looking at ways to enable and encourage more co-workers to choose more
sustainable commuting options. In FY11, the estimated emissions from co-workers
commuting to work decreased by 5.3%.
FY10 FY11
CO2
emissions CO2
emissions
/ co-worker
CO2
emissions CO2
emissions
/ co-worker
326.7 0.354 549.7 0.335
Emissions are estimated based on data on co-workers’
residential addresses and average distance to the
store; survey results on co-workers’ transport modes;
statistics on average fuel consumption of personal
motor vehicles in Australia; statistics on proportion
of fuel type consumption in Australia; and estimations
of average emissions from different types of public
transport. For the estimations of emissions from cars
and motorcycles, an emissions calculator provided by
the Australian Government has been used.
CO2
emissions from co-workers commuting to work (tonnes)
© Inter IKEA Systems B.V. 2012
Looking ahead
In FY12 and FY13, we expect to improve our energy
and water consumption efficiency by implementing a
system in which each store is responsible for reporting
their consumption and developing action plans for further
improvements. We will emphasise encouraging responsible
managers to identify areas of opportunity, replace less
efficient equipment and implement best practice.
We will continue to invest in technology that supports
the control of more efficient energy consumption,
as well as developing our competence in this area.
We will continue to investigate the possibility of using
solar panels to move towards using 100% renewable
energy in our stores in the future.
We will take more responsibility for what we sell by
creating awareness with our customers about which
products they can return to the store for recycling.
We will improve our recycling rate at all locations by
identifying new products that can be recycled. We will
continue to focus on sorting and separating at the source,
reducing our costs and keeping trucks off the road.
Sustainability is at the core of
everything we do, and for IKEA
Australia, everything we do revolves
around our stores. They are central
to our business – where our business
ideas become a reality and where we
meet our customers every day.
At all IKEA Australia stores we can see a
direct relation between visitor numbers,
water and energy consumption and waste
generation. For example, approximately
25% of a store’s water consumption
can be directly attributed to customer
restrooms, closely followed by dishwashing
in our food business. Longer store trading
hours means we use more energy to
light the car parks, run air-conditioning,
and keep our store lights on. With this in
mind, we are proud of our trends relating
to water, energy and waste. We realise it
takes a great team in-store to keep these
things in control, and they are doing an
excellent job. While we know we still have
a long way to go to reach our FY15 goals,
we are on track!
21
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 12. 22 23
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
Direct energy
Throughout FY10/11, we committed
to various investments in order to
improve the energy efficiency of
our buildings.
Thanks to these investments, we reduced
the total energy consumption in our
stores in FY11 compared to FY10, despite
increased customer numbers. Relative
to the amount of goods sold, the energy
consumption has decreased by 8.2%.
These investments mark the beginning
of a journey towards a 100% renewable
future in the Australian market.
Total direct energy consumption (Giga joules)
FY09 FY10 FY11
Homebush 637 474 371
Logan 694 228 663
Richmond 2,018 2,068 2,355
Total IKEA Australia 3,349 2,770 3,389
FY09 FY10 FY11
Homebush 626 464 186
Logan 677 210 468
Richmond 2,009 2,059 2,189
Total IKEA Australia 3,312 2,733 2,843
Gas is used for hot water and heating (excluding IKEA Logan which has no heating).
Renewable energy produced from
solar panels (Giga joules)*
FY11 Goal FY12
Homebush 175 175
Logan 178 178
Richmond 156 156
Total IKEA Australia 509 509
* We have installed an encapsulated tube system for heating water.
These figures are extrapolated based on the number of months the tubes
have been in use in each store. We are currently producing at maximum
capacity for why we expect the same production rate during FY12.
23
Electricity consumption (Giga joules)
FY09 FY10 FY11
Homebush 16,289 17,703 17,569
Logan 18,177 18,039 17,863
Richmond 15,687 16,426 15,675
Total IKEA Australia 50,153 52,168 51,107
All our electricity is derived from coal (non-renewable sources).
2009 = 509 2010 = 509
Total IKEA
Australia
All stores
At IKEA Logan, IKEA Springvale and IKEA Tempe, we have installed
energy efficient cooling systems, an investment of an extra $7.5
million over and above what it would have cost us to simply comply
with statutory requirements and install the cheapest system to do
the same job.
We have invested in computer based systems to more efficiently
manage our energy use and ensure that lights and air-conditioning
are automatically controlled or switched off when not needed.
We are using solar energy to supply the majority of hot water in most
stores. All domestic hot water is heated by the sun. When there’s no
sunshine, the water is heated by a low energy heating element.
In the retail areas throughout the stores, all 50W spotlights have been
replaced by 20W spotlights. This reduced the electricity consumption
from lighting in the commercial areas by over 60%.
These are some of the
things we have done
to reduce our energy
consumption:
© Inter IKEA Systems B.V. 2012
Gas consumption (Giga joules)
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 13. 24 25
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
Use up to 80% less energy than
traditional bulbs
Last for around 20 years (given that
you use your bulb for an average of
3 hours a day)
Are 100% mercury free, unlike other
low energy bulbs
Total energy consumption (Giga joules)
FY09 FY10 FY11
Homebush 16,925 18,177 17,940
Logan 18,871 18,267 18,526
Richmond 17,705 18,495 18,029
Total IKEA Australia 53,502 54,939 54,495
Total energy consumption/m3
goods sold
(Mega joules)
FY09 FY10 FY11
Homebush 147 162 151
Logan 250 262 242
Richmond 193 194 173
Total IKEA Australia 189 198 182
FY09 FY10 FY11
Homebush 56.9 63.4 59.3
Logan 97.1 104.0 93.8
Richmond 69.6 70.4 61.5
Total IKEA Australia 71.8 76.0 68.9
Total CO2
emissions from store operations
(M tonnes)
FY09 FY10 FY11
Homebush 6.6 7.1 7.1
Logan 7.3 7.2 7.2
Richmond 6.4 6.7 6.4
Total IKEA Australia 20.3 21.1 20.7
* Emissions from consumption of gas, diesel fuel and electricity. Estimations of emissions are
based on information from suppliers.
Going green
Throughout FY10/11, IKEA Australia
has defined a minimum standard for
what we call a “green store”.
The criteria that a green store must meet
include:
• Rainwater harvesting
• Using solar hot water
• Saving water with push button
taps and water efficient toilets
• Controlling energy consumption
with well-managed technology
systems
• Fitting low energy lights throughout
the store
• Employing movement sensors in
meeting rooms and natural light
sensors
This standard was defined throughout
the construction stage of IKEA Tempe and
IKEA Springvale and was implemented
wherever possible. Significant investments
have been, and are being made to ensure
that where possible, these criteria are also
met in our existing stores.
At IKEA, we have replaced
all traditional incandescent
bulbs with low energy
bulbs. The latest addition
to our low energy bulb
range are LEDARE,
which are based on LED
technology. LED bulbs:
25
2009 = 71.8 2010 = 76.0 2011 = 68.9
Total IKEA
Australia
Total CO2
emissions from store operations /m3
goods sold (g)
© Inter IKEA Systems B.V. 2012 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 14. 26 27
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
waterwater
We believe water is one of Australia’s
most important natural resources.
Although using water doesn’t cost us
a large amount of money today, in
the long-term water consumption will
significantly affect our environment.
Our tank capacity at IKEA Logan reached
1.1 million litres following the installation
of additional tanks in FY10/11. This is just
one example of how we are working to
minimise our demand on reticulated water.
If every customer changed their taps
at home to a more efficient model,
imagine the water savings we could
achieve together!
27
Water consumption (m3
)
These figures refer to the municipal water consumed for our store operations. IKEA Logan also
consumes a smaller proportion of rainwater collected from their newly installed water tanks.
In FY11, we had no means of measuring the amount of rain water collected and consumed,
however, we will implement a system to keep these records for FY12.
* No reliable data due to an error in the measuring equipment
* No reliable data due to an error in the measuring equipment
FY09 FY10 FY11
Homebush 6,480 N/A* 9,509
Logan 8,637 9,346 6,028
Richmond 6,960 6,680 6,732
Total IKEA Australia 22,077 N/A* 22,269
A little gadget
that makes a big difference
All bathroom taps sold in IKEA stores now have an aerator,
a little device built into the tap that mixes the water with air.
This reduces the water consumption by 50% compared to
traditional taps, while the water flow stays the same. This water
flow is sufficient for normal household use, and so, our taps help
prevent customers from consuming more water than necessary.
Using less water also means consuming less energy, which is
good for both the environment and the customers’ wallet.
olskÄr Tap
FY09 FY10 FY11
Homebush 56.1 N/A* 80.0
Logan 114.5 134.1 78.6
Richmond 75.7 70.2 64.7
Total IKEA Australia 78.1 N/A* 74.3
Water consumption / m3
goods sold (mm3
)
Examples of what we
have done to reduce our
water consumption:
All stores
We invested in replacing all
dishwashers in all our stores
to more water efficient models.
IKEA Homebush
IKEA Homebush won the City
of Canada Bay Most Sustainable
Business Award in 2010.
Environmental initiatives included
installing low-flow toilets and
push button taps.
IKEA Logan
IKEA Logan installed extra water
tanks with a capacity of 500,000
litres. By harvesting rainwater
we have managed to reduce the
reliance on town water. The rain
water is used for the toilets and the
air-conditioning cooling towers.
Total IKEA
Australia
2009 = 78.1 2011 = 74.3
© Inter IKEA Systems B.V. 2012 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 15. 28 29
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
waste waste
In all parts of our business, we
work to eliminate or minimise waste
production, wherever possible.
This can involve small changes
such as making sure we only put
on our plate as much as we can
eat, or big changes like developing
new handling processes to reduce
damage to products.
Where we cannot eliminate waste we
ensure it is sorted into as many waste
streams as possible, and work with a
recycling partner to minimise landfill.
Our ambition is to divert 95% of all
waste from landfill. We know we still
have a long way to go, however we
believe that what we have achieved in
FY10/11 has put us in a good position
to reach our goal by FY15!
Disposal method
FY10 FY11
Recycling &
energy recovery
49% 56%
Landfill 51% 44%
The disposal method has been determined by our waste disposal
contractor. There is no data available on the break down of recycled
waste and waste sorted for energy recovery.
Total waste production/m3
goods sold (kg)
FY09 FY10 FY11
Homebush 13.0 11.1 13.41
Logan 12.9 11.4 14.4
Richmond 18.7 13.5 13.1
Total IKEA Australia 14.8 12.0 13.5
Total waste production (tonnes)
FY09 FY10 FY11
Homebush 1,504 1,249 1,595
Logan 970 795 1,104
Richmond 1,723 1,283 1,361
Total IKEA Australia 4,196 3,327 4,060
None of our waste is hazardous under Australian legislation.
29
Amount of packaging material used
for IKEA home furnishing products
sold in Australia (tonnes)
2010 = 8,470 2011 = 6,480
© Inter IKEA Systems B.V. 2012
The amount of packaging used for the home
furnishing products sold within IKEA Australia
decreased significantly in FY11. Compared to the
year before, we reduced the amount of packaging
by 23%. This, despite the fact that we increased
sales by 3.5%!
Some examples
of what we have
done to reduce our
waste production:
All stores
In FY11, we invested $1.5
million nationally in waste
equipment upgrades. This
resulted in an 80% reduction
in waste transport, which helps
us save money and reduce
emissions.
IKEA LOGAN
We realise that many mattresses
could not be sold due to the
plastic packaging being easily
ripped and the mattresses
dirtied. We flagged this and also
provided recommendations that
were later implemented globally.
Mattresses are now supplied
with more effective packaging
that has dramatically reduced
mattress waste.
IKEA RICHMOND
We have focused on educating
co-workers in the store about
how to prevent damage
during transport and display.
We monitor where damage
happens and evaluate how each
department can avoid practices
that can damage products.
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 16. 30 31
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
co-workers co-workers
© Inter IKEA Systems B.V. 2012
IKEA co-workers are our most
valuable resource.
We want co-workers that share our
values to stay and grow with us, both as
individuals and in their professional roles,
so that together, we remain committed
to creating better everyday lives for
ourselves and our customers. This is
why we emphasise safe and healthy
working conditions, sound benefits and
career development based on equal
opportunities and strong values.
Diversity
We are convinced that IKEA becomes more creative and dynamic with a diverse
workforce so we value co-workers with different backgrounds and experience.
IKEA Australia has a sound gender balance in our co-workers. In line with the average
Australian retail business, we had a slight overrepresentation of females among our
store team members during FY11, while there were more males than females in
management positions. Recruiting for our new IKEA Springvale and IKEA Tempe stores,
we realigned our recruitment strategy to ensure that we recruited co-workers who
reflected our customer base. This resulted in recruiting a female store manager for
IKEA Tempe and females for 57% of in-store management roles. In IKEA Springvale
48% of the managers in the store are female*. In IKEA Australia overall, 44% of the
middle managers are female. *As of February 2010
We aim to provide greater opportunities for both women and men to successfully
balance their career with family life and to be able to share the responsibilities of caring
for their children. We offer some of the most generous parental leave provisions
in Australia. All permanent co-workers, both female and male, with more than two
years continuous service are entitled to paid parental leave for 26 weeks with full pay
or 52 weeks on half pay. Compared to parental leave in Australia in general, and retail
in particular, our parental leave scheme clearly demonstrates the priority IKEA places
on work/life balance.
26Number of
weeks of fully paid
parental leave
Number of
co-workers
Benefits supporting
work / life balance
IKEA seeks to be an employer of choice, so we aim to
offer competitive and transparent compensation and
benefits to attract, motivate and retain talented people
who contribute to our ambition to become the leader in
life at home. In addition to our generous parental leave
plan, we offer all our co-workers, regardless of contract
type, substantial additional benefits, including:
• Paid leave for volunteer service work in times of
emergency, crisis or disaster in the local community,
with up to two days per occasion and six days per
anniversary year.
• A 24 hour free counselling service is available to all
co-workers who wish to discuss and receive advice on
any issues related to their work or personal life.
• The possibility of receiving leave of absence for travel
or study linked to personal development.
• The possibility of financial support for further
external education or training, including degrees
and certificate courses.
Diversity
Gender total
FEMALE = 53%
MALE = 47%
Number for 2011
At IKEA Australia
we record co-worker
diversity age and gender.
We do not have reliable
data of the proportion
of ethnic or minority
groups represented
in our workforce, as
in accordance with
Australian law it is
voluntary for co-workers
to specify their ethnicity.
As we upgraded our
reporting system in FY11,
reliable data on diversity
during FY10 is not
available.
Looking ahead
• By FY15, the index average in the annual co-worker
survey VOICE shall reach 750 or above, out of a
maximum of 1,000.
• The perception of working for IKEA differs between
managers and non-managers, with managers generally
having a more positive perception. Our goal is that
by FY15 at the latest, the gap shall be minimised to a
maximum of 70 points difference between manager
VOICE results and non-manager VOICE results.
• We will focus on engaging and empowering our co-workers,
making it easier for our co-workers to do their jobs and
ensuring that they are engaged, committed and satisfied
with their role.
• We will focus on improving our internal communications
about sustainability to increase the awareness of IKEA
sustainability initiatives and direction.
31
Co-worker
turnover
2010 = 40%
2011 = 18%
Co-worker turnover
In the last few years, despite a
significant growth in the number
of co-workers, our turnover has
continuously decreased, both in
absolute terms and as a proportion
to the total workforce.
We see this as evidence that our efforts
to create a good workplace environment
have produced results, and we will
continue to work to maintain and improve
our position as an employer of choice.
2010 = 924
2011 = 1,638
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 17. 32 33
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
co-workers community
Low price – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
Homebush Logan Richmond
Service
Office
Service
Centre
Goal FY15
Total IKEA
Australia
Total VOICE result
(out of 1000)
663 719 666 716 552 750 681
VOICE total result
Homebush Logan Richmond
Service
Office
Service
Centre
Total IKEA
Australia
Are proud of working at IKEA and
would gladly tell people about it
80% 84% 78% 85% 66% 80%
Would stay with IKEA even if they
were offered a similar job with
approximately the same pay and
benefits at another company
72% 72% 71% 68% 68% 71%
Believe that they have good
opportunities to develop and expand
their competence within IKEA
59% 70% 66% 62% 45% 64%
VOICE general results
Homebush Logan Richmond
Service
Office
Service
Centre
Total IKEA
Australia
Are proud of the way IKEA works
with sustainability
82% 83% 71% 77% 68% 78%
Feel responsible for minimizing the
negative impact on the environment
in their daily jobs
78% 78% 76% 68% 77% 76%
Agree that within their department,
sustainability is a natural part in
everyday work
68% 73% 62% 53% 67% 66%
Agree that within their department,
they take concrete actions in line
with the IKEA sustainability direction
63% 70% 57% 57% 56% 62%
VOICE sustainability result
Global
customer
engagement
activities
IKEA believes that home is the most
important place in the world, and
that children are the most important
people in the world.
The IKEA Foundation aims to improve
opportunities for children and youth in
developing countries by funding holistic
long-term programmes that can create
substantial, lasting change.
community
33
IKEA Foundation is a registered
Dutch charity foundation.
Total donations reached 65 million
Euro in 2011, and currently funded
programmes benefit an estimated
100 million children. Learn more
about the IKEA Foundation on
www.ikeafoundation.org
or the IKEA Group Global
Sustainability Report 2011.
Listening to
our co-workers
Every other year, we engage our
co-workers in a survey called VOICE,
to gather feedback on how IKEA
co-workers view aspects of their
employment at IKEA.
We ask our co-workers to complete the
survey anonymously, so we can identify
what motivates them and what we can
do better.
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 18. 34 35
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
Total IKEA Australia
toys and books sold
2010 = 115,989
2011 = 117,662
FY10 FY11
IKEA Richmond 38,025 46,137
IKEA Logan 30,699 31,868
IKEA Homebush 47,265 39,657
SUNNAN lamps light
up children’s lives
We may take it for granted in Australia, but in many
developing countries children struggle to read, write
and do homework after dark due to lack of electricity.
SUNNAN desk lamp, equipped with a combination of solar cells
and energy-saving LED technology, can shine for three hours
when fully charged with sunlight. For every SUNNAN lamp sold
in IKEA stores, the IKEA Foundation donates one SUNNAN lamp.
The lamps are distributed by UNICEF and Save the Children to
children in developing countries to help them play, read, write
and study after dusk. Since the start of the project in June
2009, approximately one million SUNNAN lamps have been sold
worldwide.
IKEA Australia significantly decreased the price of SUNNAN in
FY11, which made us nearly triple the amount of lamps sold.
In this way, our Australian customers contributed to 18,000
lamps being donated by the IKEA Foundation.
Money raisedduring theIKEA Soft Toycampaign
communitycommunity
© Inter IKEA Systems B.V. 2012
35
233,000 euros raised
through the IKEA Soft
Toys campaign
At the end of each year, during the
holiday season, for every Soft Toy sold
in IKEA stores one Euro (approximately
$1.30 Australian) is donated by the
IKEA Foundation; split between Save
the Children and UNICEF, in support
of educational programmes around
the world.
Between the start of the Campaign in 2003
and the end of FY11, the IKEA Foundation
had donated 35.2 million euro (approximately
$42 million Australian) and contributed to
improved education for approximately eight
million children.
During FY10 and FY11, IKEA Australia alone
raised a total of more than 233,000 Euro,
which was donated by the IKEA Foundation.
In some of our stores, the customers also
had the opportunity to give twice at the exit
of the stores, by donating their soft toys
which were then passed on to children in
need. In FY11, the IKEA Richmond store
collected 81 soft toys for Save the Children
Australia, while the IKEA Homebush store
collected 283 soft toys that were delivered
to Westmead Children’s Hospital in Sydney.
Amount of
SUNNAN lamps
donated as a
result of IKEA
Australia sales
(Total IKEA
Australia)
2010 = 6,090 2011 = 18,004
Local
community
involvement
IKEA Australia wants to be a good
neighbour and local community
member, so we have formed
partnerships with a range of local
charities and schools. We focus our
community support on projects that
can help improve the environment
in which children can achieve their
potential through learning and
development. We also support
organisations and initiatives that
contribute to comfortable, happy,
safe and sustainable homes.
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 19. 36 37
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
community
Co-workers help
children receive an
education in Cambodia
Education saves lives. When children
go to school they are healthier,
better-nourished and live longer,
equipped with life skills to help break
the cycle of poverty. Currently, only
one in five Cambodian children has
access to pre-school. To help, IKEA
Australia is financially supporting
UNICEF to setup 150 community pre-
schools giving children a better start
in life. We encourage our co-workers
to support this cause, by having a
monthly donation of their choice
withdrawn directly from their pay.
In FY11, we also recruited one IKEA
Australia UNICEF Ambassador from
each store as well as the Service Office.
Over a two year period, these eight
people will be promoting our partnership
with UNICEF to their co-workers, and
experience firsthand the results of our
donations to UNICEF.
“I want to create more awareness
around our iCare Workplace Giving
Programme and to show that even
a dollar could make a difference.
If every co-worker in IKEA Richmond
donated one dollar each month, we
could build a school by the end of the
year! If all of us donated one dollar
per week, there could be five schools!
I want to create an attitude change
by talking about where the money
goes and that tangible results come
out of these donations.”
"For more than 10 years, IKEA has
been instrumental to UNICEF’s work
through strategic social investments,
cause-related marketing and
fundraising activities through our
customers and employees. In 2011
IKEA Australia not only supported
vital education programs in
Cambodia, but also created a team
of IKEA staff ambassadors who were
then sent to the field to see the
changes IKEA funds were making
to children’s lives. UNICEF is most
grateful for IKEA’s deep commitment
to social responsibility and their
ongoing support in helping children
access education across the globe."
10 cents can make
a difference
In FY11, we introduced our IKEA
FAMILY customer club to Australia.
Each time our customers swipe or
scan their membership card, 10 cents
is donated to charities that work with
children and young people. Of these ten
cents, 50% is distributed to UNICEF while
the other 50% is donated to one of three
local charity organisations, depending
on which store the card is swiped or
scanned. The customer can also ask for
the entire donation to go to the local
charity or to UNICEF.
Although we made donations to various community
interest groups, we only began recording our donations
in FY11.
Amount donated through
IKEA FAMILY card swipes
in FY11 (AUD)
Berry Street 19,626
Young Care 27,705
Bear Cottage 24,152
UNICEF 69,218
Total 140,701
Norman Gillespie, Chief Executive
UNICEF Australia
community
37
© Inter IKEA Systems B.V. 2012
Sarah Angow, leader of the IKEA
Richmond Sustainability Collective
and IKEA Richmond UNICEF
Ambassador
$4,853
FY11 Donations from
iCare Workplace Giving
© UNICEF, Chandler
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11
- 20. 38 39
Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11© Inter IKEA Systems B.V. 2012
“Youngcare is incredibly grateful
for the support of IKEA Logan, its
customers and FAMILY card members.
Our work is only made possible by the
combined support of the community,
government and businesses, and
thanks to the support of IKEA, we’ve
been able to make a real difference
in the lives of young Australians in
desperate need. IKEA Logan has
been able to directly assist our latest
accommodation project located on
the Gold Coast, which will be home to
seven young Australians with 24/7
care needs who right now, have very
few options in where they live and
how they receive care.”
- Marina Vit, Youngcare CEO
A helping hand
to the Queensland
flood victims
After the 2011 floods in the
Brisbane region, hundreds of homes
were destroyed and many more
significantly damaged.
The town of Theodore was flooded twice
in December 2010/January 2011 and
was the first Queensland town to be
completely evacuated - during
the second flood over Christmas.
After assisting its own flood-affected
co-workers, IKEA Logan wanted to
help a town that would significantly
benefit from donations. Theodore met
all criteria - a town with families that
needed help, a town with a positive
attitude and a town that wasn’t
necessarily the typical IKEA customer.
And with such a small population (only
500 residents), IKEA could help almost
everyone! Over four months, a two-
person Theodore committee created 130
shopping lists, and the IKEA volunteers
picked, processed, loaded, and unloaded
many products to help the residents of
Theodore make a new start. Twenty-three
IKEA Logan co-workers and three trucks
made the epic 566km trip to Theodore.
Together, they donated a total of more
than 1,000 hours of their time to pick,
process, load and unload $80,000 worth
of IKEA products to Theodore residents.
community
Gallery of Modern Art
Children’s Art Centre
IKEA Logan sponsors the Gallery
of Modern Art (GoMA) Children’s
Art exhibitions, that support
young museum visitors’ creative
sensibilities, enjoyment, awareness
and understanding of the visual arts.
Through the sponsorship of IKEA,
GoMA can make their innovative
children’s program free to all children
and enable as many as possible to
access these activities.
Providing the
students of Mabel
Park State School
with career tools
With the help of IKEA Logan Human
Resources co-workers, students
at Marble Park are provided with
individual scenarios to prepare for
real life career situations.
Practice interviews are provided to year
10 and 11 students, for many these
are their first experience of interview
situations. IKEA Logan also provides
career mentoring and coaching, as well
as in store work experience opportunities.
logan
donations:
$46,121
total FY11 donations
of money and goods
Logan
Youngcare
Thousands of young Australians with
severe disabilities are currently living
in aged care simply because there
are few alternatives. Youngcare is
an organisation working to provide
choice in care and housing for young
Australians who have round-the-
clock care needs. Their belief is that
all young people deserve to live
young lives, and that aged care is not
appropriate for them. IKEA Logan
shares this belief in the importance
of the home, and recognises the
strong impact that living space can
have on people’s lives, especially for
those who spend a lot of their time
indoors. Every time our customers
in the IKEA Logan store swipe their
IKEA FAMILY card, they play a part
in realising the Youngcare’s vision of
enabling young Australians with high
care needs to live the young lives
they deserve.
Richmond
richmond
donations:
$23,482
total FY11 donations
of money and goods
Melbourne
Girls’ college
“IKEA Richmond has been an
invaluable community partner in the
Melbourne Girls’ College Sustainability
Collective since it joined in 2010.
The Sustainability Collective was
established with the aim to improve
the environmental awareness of the
college and the community at large.
IKEA have been central to the success
of so many events run by the collective
and were involved in the development,
promotion and smooth running of
several major events. The IKEA team
are an inspiring group who attend
regular meetings and are always
able to give a unique perspective on
an issue. Their commitment to our
collective has ensured the ongoing
success of the group and have helped
to show that first class sustainability
practices can be achieved in a large,
global organisation.”
Planting 600 trees
with Concord West
Primary School
As part of the National Tree Day,
IKEA Homebush collaborated
with their partner school Concord
West Primary School and Canada
Bay Council in planting a total of
approximately six hundred trees over
FY10 and FY11 at the Kokoda Track
Memorial Walkway.
Homebush
Homebush
donations:
$1,121
total FY11 donations
of money and goods
Bear Cottage
Bear Cottage is a children’s hospice
that helps families cope with an
extremely challenging situation;
caring for a child who has a life-
limiting illness.
While staying at Bear Cottage, children
receive state-of-the-art medical care in a
welcoming and homely environment. With
no recurrent government funding, Bear
Cottage depends entirely on the generosity
of the public and corporate donations.
Through the IKEA FAMILY swipe donations,
our customers contribute to providing
a service that is desperately needed by
everyday families facing the most tragic
of circumstances. However, they also help
in providing an uplifting and inspiring
environment in which children can laugh
and play, and where life is celebrated, lived
to its fullest and fondly remembered.
Berry Street
Berry Street is Victoria’s largest child
and family welfare organisation.
They aim to help children and young
people recover from the devastating
impact of family violence, abuse and
neglect, and to support parents in
providing their children with a good
childhood, which they believe is the
foundation for a healthy society.
Berry Street provides education through
their independent school campuses that
cater for young people aged 12 to 18
years old, who have disengaged from
mainstream education or who are at
high risk of disengaging. IKEA Richmond
donated products and co-worker time
worth a total of nearly $5,000 for the
Noble Park campus where nine co-
workers rolled up their sleeves to re-
decorate class rooms and create more
inspirational learning environments for
the students.
- Andrew Vance, Sustainability Coordinator
and teacher, Melbourne Girls’ College
community
38 39
© Inter IKEA Systems B.V. 2012Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11 Low cost – but not at any cost IKEA Australia Sustainability Report FY10-FY11